The prices of oil dropped over two percent in the U.S. on Wednesday even as crude related stocks in the U.S. rose unexpectedly. According to the data released by American Petroleum Institute, the U.S. crude stocks went up by 4.5 million barrels during the week that ended on 19th August.
Analysts were hoping the barrel figures to drop by 455,000. However, this dragged the United States’ West Texas Intermediate crude down by over one dollar, removing all the gains incurred in the past. It must be noted that West Texas Intermediate dropped by 1.03 dollars or 2.1% to reach 47.07 dollars per barrel.
The Global Brent crude figures dropped by sixty nine cents or 1.4% to reach 49.27 dollars per barrel after dropping low at 49.07 dollars. On the other hand, Brent went up by fifty dollars, after a popular news agency reported that Iran indicated that it is likely to support the joint OPEC members’ decision to increase prices of oil. However, traders and analysts are hoping that the oil producers will mutually agree at the meeting to be held in Algeria from 26th to 28th of September.
On Tuesday, the Iraqi prime minister stated that his government will not restrict crude production in its bid to reach any agreement.